National Oilwell Varco Reported Third Quarter 2017 Results

HOUSTON--(BUSINESS WIRE)--Oct. 27, 2017

“Our team delivered solid results in the third quarter as
higher sequential sales of Wellbore Technologies and Completion &
Production Solutions products enabled NOV to overcome a retrenchment in rig
equipment demand,” commented Clay Williams, Chairman, President and CEO. “Despite weak commodity prices through the
quarter, and the significant disruption of Hurricane Harvey along the Gulf
Coast, NOV delivered 18 percent more Adjusted EBITDA as compared to the prior
quarter, due in part to the Company’s pivot into new products that are gaining
traction globally. We continue to pioneer new, safer and more efficient ways to
develop and produce oil and gas in a low commodity price world.”

Revenues for the third quarter of 2017 were 1.84 billion,
an increase of four percent compared to the second quarter of 2017 and an
increase of 11 percent from the third quarter of 2016. Operating loss for the
third quarter was $7 million, or 0.4 percent of sales. Adjusted EBITDA (operating
profit excluding other items before depreciation and amortization) for the
third quarter was $167 million, or 9.1 percent of sales, an increase of $25
million from the second quarter of 2017. Cash flow from operations for the
third quarter was $232 million.

NOV had several notable achievements this quarter.

A major operator in the Kingdom of Saudi Arabia
ran i-Frac CEM™ ball-drop-activated multistage frac sleeves and Burst Port System™ toe subs to complete the first four toe stages in an ultra-long-reach
horizontal well, areas that would have been inaccessible using traditional
completion methods.

NOV sold the first Tolteq™ iSeries™ MWD kits in
the UAE and Russia and completed the first commercial run of the 9⅝-in.
VectorEXAKT rotary steerable system, which was chosen by the customer for use
in future wells.

NOV booked orders for two complete
50,000-horsepower frac spreads, several blenders, and a number of discrete
pieces of support equipment, including hydration units and liquid additive
systems. This brought total pressure pumping equipment orders above 400,000
horsepower year to date.

NOV booked the largest single order of
Fiberspar™ spoolable line pipe spoolable line pipe in the Company’s history for a customer in Saudi
Arabia, bringing total length of pipe ordered by the customer to more than
1,000 miles.

NOV’s customized Tektonic™ drill bits with
industry-leading Helios™ and ION™ cutter technologies continue to set field
records, including interval drilled and ROP, for operators in Africa and the
Middle East.

NOV booked an order for 100,000 ft of TK™ Liner
products, composite liners designed to protect new and used oil country tubular
goods and flowlines in corrosive environments, for a customer in Abu Dhabi.
Additionally, new orders for Thru-Kote™ insert sleeves designed to protect the
internal coating of welded pipelines totaled over 90,000 pieces.

NOV booked an order for a Brandt™ THOR-8indirect thermal desorption system in Mexico, and a major operator in Argentina
awarded us several multi-million dollar, multi-year contracts to provide
drilling fluids, solids control, and drilled cuttings drying services.

To learn more about the quarter’s results and read the
full list of notable achievements, read the news release here.